Baker Company purchases equipment at the beginning of the ye…

Baker Company purchases equipment at the beginning of the year at a cost of $130,000. The equipment is depreciated using the double-declining-balance method. The equipment’s useful life is estimated to be 4 years with a $10,800 salvage value. Depreciation expense in year 4 is:

Lieberman Company has the following per unit original costs…

Lieberman Company has the following per unit original costs and replacement costs for its inventory:   Part A: 50 units with a cost of $5 and replacement cost of $4.50. Part B: 75 units with a cost of $6 and replacement cost of $6.50. Part C: 160 units with a cost of $3 and replacement cost of $2.50.   Under lower of cost or market, the total value of this company’s ending inventory must be reported as:

Baker Company purchases equipment at the beginning of the ye…

Baker Company purchases equipment at the beginning of the year at a cost of $130,000. The equipment is depreciated using the double-declining-balance method. The equipment’s useful life is estimated to be 4 years with a $10,800 salvage value. Depreciation expense in year 4 is:

Blue Angel Company has $110,000 of 9% noncumulative, preferr…

Blue Angel Company has $110,000 of 9% noncumulative, preferred stock outstanding. Blue Angel also has $510,000 of common stock outstanding. In the company’s first year of operation, no dividends were paid. During the second year, the company paid cash dividends of $31,000. This dividend should be distributed as follows:

Massey Company’s property records revealed the following inf…

Massey Company’s property records revealed the following information about its plant assets:   Machine number Cost Salvage Value Purchase Date Estimated Life Depreciation Method A $ 82,000 $ 8,000 January 1 4 years Straight-line B 46,000 3,600 July 1 5 years Double-declining balance   Calculate the following: -Depreciation expense on Machine A in Year 1: -Net book value of Machine A at the End of Year 2: -Net book value of Machine B at the End of Year 1: -Accumulated Depreciation on Machine B at the end of Year 2:

On September 15, Oakton Company sold merchandise in the amou…

On September 15, Oakton Company sold merchandise in the amount of $7,800 to Dempster Company, with credit terms of 2/10, n/30. The cost of the items sold is $4,500. Oakton uses the periodic inventory system. The journal entry or entries Oakton will make on September 15 is: